Blockbuster signs deals for indie exclusives
Titles include Screen Media's Personal Effects, Battle in Seattle
By Susanne Ault -- Video Business, 5/1/2009
MAY 1 | PHYSICAL: Blockbuster has been quietly but aggressively adding rental title exclusives to its shelves.
A number of indie films, including Screen Media’s Personal Effects and Battle in Seattle and E1 Entertainment’s Baby on Board, are popping up within exclusive 30-day windows at Blockbuster before their wider release at other retailers.
Personal Effects is currently available only at Blockbuster until its May 12 larger retail bow. Baby on Board is expected on Blockbuster shelves this month before its wide June 2 release. Battle in Seattle was at Blockbuster in February before launching wide on March 10.
Some rival retailers, including members of the National Entertainment Buying Group, have expressed concern over not having the same ability to offer customers such films at the same time as Blockbuster.
However, in several instances, the Blockbuster exclusive was arranged outside of distributors’ control. For example, Screen Media lacked the rights to deliver Battle in Seattle and Personal Effects to its retail partners until Blockbuster’s 30-day exclusive on the title ended. In these two cases, the films’ producers struck separate deals with Blockbuster for their exclusive roll-out at the chain. Screen Media then negotiated with the producers, Redwood Palm and Insight Films, respectively, to distribute the titles to other retailers.
There can be monetary upside for indie producers to carve out Blockbuster exclusives, sources say. Producers can earn low-to-mid six-figures by selling their projects for a 30-day window, then also benefit financially from the films’ distribution to the retail world at large.
Blockbuster wins with the opportunity to market content none of its competitors have for a month-long period. The chain already has long-term exclusive arrangements with IFC and The Weinstein Co. IFC titles can only be bought and/or rented at Blockbuster for 30 days before their bow elsewhere. Distributor Genius Products delivers TWC titles to Blockbuster only in the rental channel, but offers the titles to all sell-through retail accounts.
“We’ve said our mission is to offer products and services our customers can’t find anywhere else,” Blockbuster spokesman Randy Hargrove said. “These films along with our agreement with IFC for the exclusive U.S. rental rights for IFC Entertainment’s titles are examples. We will continue to look for opportunities to offer exclusive products to our customers, which can help differentiate Blockbuster from the competition.”
Blockbuster has become more active in scoring exclusives over the last two or three years. The chain has become a regular fixture on the film festival circuit, vying with other suppliers to secure rights to projects.
Still, regardless of how Blockbuster is granted the exclusive, the situation can be frustrating for rival stores.
“Especially if a store is competing head to head” with Blockbuster, said Todd Zaganiacz, president of the NEBG, “and they have the title and you don’t. It’s just more confusion for the consumer. Most people walk into a store and want to obtain what they want to obtain, and they don’t want to have to play scavenger hunt to find it.”
Danny King contributed
